Sharp Operating Income Recovery
Operating income surged 292.3% year-over-year to $1.73B in Q1 FY2026, compared to a loss of $900M in Q1 FY2025, signaling a meaningful recovery in refining crack spreads and throughput economics.
VALERO ENERGY CORP/TX is expected to release its Q2 2026 10-Q filing in the upcoming earnings season. Last quarter: Valero Energy (VLO) delivered a strong Q1 FY2026 turnaround, swinging to $1.26B net income from a $595M loss a year ago, driven by a 292% surge in operating income to $1.73B as refining margins recovered significantly.
Drawn from management commentary in the Q1 2026 10-Q:
Operating income surged 292.3% year-over-year to $1.73B in Q1 FY2026, compared to a loss of $900M in Q1 FY2025, signaling a meaningful recovery in refining crack spreads and throughput economics.
Net income swung to $1.26B from a loss of $595M in the prior-year period, a 312.3% improvement, reflecting both improved refining margins and disciplined cost management despite a modest 1.9% rise in cost of revenue to $30.33B.
Cash and equivalents grew 23.7% year-over-year to $5.73B, and current assets rose 18.0% to $27.83B, resulting in a current ratio of 1.58, indicating a healthy short-term liquidity buffer.
Cost of Revenue
$30.33B
++1.94% YoY
EPS (Basic)
$4.22
++322.11% YoY
Operating Income
$1.73B
++292.33% YoY
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